People browse booths at a military veterans' job fair in Carson Thomson Reuters WASHINGTON (Reuters) - The U.S. economy probably bounced back to an annual growth rate of around 2.5 percent in the second quarter, and the labor market is approaching full employment, Federal Reserve vice chairman Stanley Fischer said on Tuesday.

He said "tentative" signs of wage growth and continued job creation also gave him confidence that U.S. labor markets would continue to improve, and gradually help push inflation towards the Fed's 2 percent target.

Speaking at a meeting of African central bankers at Oxford University in England, Fischer did not directly address the timing of an initial Fed rate hike that is widely expected this year, perhaps as early as September.

But he noted that the central bank needed to stay ahead of the curve, since monetary policy only effects the economy with a time lag.

"We should not wait until we have reached our objectives to begin adjusting policy," Fischer said.

The gathering was meant to address problems particular to central bankers in Africa, and Fischer said the Fed was carefully weighing the possibility its upcoming shift in monetary policy could have significant effects on developing nations.

Rising global interest rates, for example, could make it more difficult for countries to finance development projects and infrastructure.

"In order to minimize the likelihood of surprises and thus avoid creating unnecessary market and policy volatility, we are striving to communicate our policy strategy clearly and transparently," Fischer said.

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